Adult-Gerontology Clinical Nurse Specialist (CNS) Practice Exam

What is the term for planning that extends 3 to 5 years into the future?

1. Budgetary planning

2. Strategic planning

3. Organizational planning

4. Operational planning

The correct answer is: Strategic planning

Strategic planning refers to the long-term process of defining an organization’s direction and making decisions on allocating its resources to pursue that direction. This type of planning is typically focused on a time frame of three to five years and involves setting overarching goals, analyzing organizational strengths and weaknesses, and understanding external opportunities and threats. It is essential for guiding an organization's strategy to achieve its vision and objectives, ensuring that all parts of the organization are aligned towards common priorities. In contrast, budgetary planning is mainly concerned with financial aspects over a shorter period, often annually, and focuses on the allocation of funds. Organizational planning can refer to a wide range of planning processes within an organization but does not specifically denote the long-term focus of strategic planning. Operational planning involves short-term activities and day-to-day operations, typically addressing the immediate needs and actions for the upcoming year or less, rather than the broader, multi-year outlook that strategic planning encompasses.